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Optimal Procurement of Liquefied Natural Gas Cargos from Long-Term Contracts and Spot Market through Mathematical Programming
Industrial & Engineering Chemistry Research ( IF 3.8 ) Pub Date : 2021-02-24 , DOI: 10.1021/acs.iecr.0c05757
Mohd Shahrukh 1 , Rajagopalan Srinivasan 1 , Iftekhar A. Karimi 2
Affiliation  

Liquefied natural gas (LNG) is increasingly becoming a fossil fuel of choice, especially in growing economies. The trade in LNG has traditionally been governed by long-term contracts (LTCs); however, recently, spot trade of LNG cargos is becoming popular. There is no approach reported in the literature for making LNG procurement decisions from both LTCs and spot cargos. In this work, we study this tactical procurement decision while considering factors such as price difference between the spot market and LTCs, demand at the regasification terminals, and LTC obligations. Two distinct strategies are proposed for this purpose: (1) LNG procurement heuristics (LNGPH) based on a locally optimal greedy search and (2) a mathematical programming-based LNG procurement model (LNGPM) that determines the optimal set of cargos by solving a mixed-integer linear program. We demonstrate both the methodologies using an illustrative example. To account for various uncertainties, a scenario-based comparison was also performed. In a range of 27 different scenarios, LNGPM consistently outperformed LNGPH, leading to an average annual saving of $83 million. However, LNGPH has a distinct advantage over LNGPM in computational time. Also, the solver was unable to solve one scenario even after 24 h. Therefore, LNGPH can be used as a low-cost backup when LNGPM is unable to deliver a solution in a reasonable time.

中文翻译:

通过数学编程,从长期合同和现货市场中最优地采购液化天然气货物

液化天然气(LNG)日益成为首选的化石燃料,尤其是在经济增长的国家。传统上,液化天然气的交易受长期合同(LTC)的约束;但是,最近,LNG货物的现货交易变得流行。文献中没有报告从LTC和现货货物中做出LNG采购决策的方法。在这项工作中,我们在考虑诸如现货市场和LTC之间的价格差异,再气化终端的需求以及LTC义务等因素的情况下研究此战术采购决策。为此,提出了两种不同的策略:(1)基于局部最优贪婪搜索的LNG采购试探法(LNGPH),以及(2)基于数学编程的LNG采购模型(LNGPM),该模型通过求解混合整数线性程序来确定最佳货物组。我们使用一个说明性示例来演示这两种方法。为了解决各种不确定性,还进行了基于方案的比较。在27种不同的情况下,LNGPM始终优于LNGPH,平均每年可节省8300万美元。但是,LNGPH在计算时间上比LNGPM具有明显的优势。同样,求解器甚至在24小时后仍无法解决一种情况。因此,当LNGPM无法在合理的时间内交付解决方案时,LNGPH可以用作低成本备份。为了解决各种不确定性,还进行了基于方案的比较。在27种不同的情况下,LNGPM始终优于LNGPH,平均每年可节省8300万美元。但是,LNGPH在计算时间上比LNGPM具有明显的优势。同样,求解器甚至在24小时后仍无法解决一种情况。因此,当LNGPM无法在合理的时间内交付解决方案时,LNGPH可以用作低成本备份。为了解决各种不确定性,还进行了基于方案的比较。在27种不同的情况下,LNGPM始终优于LNGPH,平均每年可节省8300万美元。但是,LNGPH在计算时间上比LNGPM具有明显的优势。同样,求解器甚至在24小时后仍无法解决一种情况。因此,当LNGPM无法在合理的时间内交付解决方案时,LNGPH可以用作低成本备份。
更新日期:2021-03-10
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